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Beautiful Views:
If there is one thing that has always weathered markets well, it is homes that have beautiful views. Too often a magnificent view is associated simply with being on a high floor, but there are many different kinds of views. Here are some to ponder:
1. Up in the Clouds views: these happen on really, really high floors of a highrise – or on top of a mountain – where there truly are times that you are in the clouds.
2. Panoramic views: these could be of city lights/skyline or the ocean, or anything that provides a huge open expanse of views, several miles wide and far…..but not so high up that your views are obscured on cloudy days.
3. Park views: some argue that looking into the trees is less desirable than being above the treeline. Some love being below the tree line where you look directly into the park and your view experience becomes part of the park. Being too high above a park has its disadvantages when you have to step close to the windows to see a leaf….. the dream is to be seated and have that park be part of your experience.
4. Water views: what could be more relaxing than a water view? Something about water is incredibly soothing for the mind. This can come in the form of an ocean, lake, river, reservoir, stream, pond.
5. Land views: a vista that stretches far into the distance with rolling hills or farmland has its charms.
6. Mountain views: the dramatic elevations of mountains can deliver an exceptional view experience too.
7. Forest views. A wild, natural forest can be quite beautiful, especially one that changes in appearance with each season.
8. Garden views: what could be more inspiring than a view of a beautiful garden, either large or intimate? The joy of a garden view is that it can be controlled.
9. Village views: Sometimes a view of a charming lane of townhouses, or a leafy tree-lined street can be as satisfying as all the above.
10. No-view views: In areas where a view is restricted or non-existent, the creative use of a lowered solar shade or Roman shade that lets light in but exposes a beautifully planted window box?
A home should be attractive from the outside, but since we spend about 90% of our lives indoors, what we look out AT matters even more.
Did You Know?
- 46.8% of luxury homes that were bought during the three months ending Feb. 29 were paid for in cash, the highest percentage in at least 10 years and a 44.1% increase from 2023. (Barrons)
- Days on market for homes in the US spiked by almost 85% on average YOY….but at 48 days as of February 2024, that is still very fast! (WSJ)
- While most economists now believe multiple rate drops are not coming in 2024, almost all economists believe the days of artificially super-low rates will not return for many years, if ever. The 30-year fixed mortgage rate hovered around 5% in 2009 and dipped to around 3% by 2020…..but it was 4.54% in 2018. At that time many were decrying that rate as ‘too high!’…..(WSJ)
- For would-be homebuyers hoping to purchase this spring, climbing rates have been a significant obstacle. Still, many are pushing forward by scouting financing incentives like temporary buydowns or adjustable-rate loan options. “People are interest-rate sensitive,” Sean Dycus, real estate agent at Mainstreet Properties, told Yahoo Finance. “We may not have 4% interest rates, but people know that at some point these rates will come down and they will refi.”
- Mortgage rates haven’t shown signs of edging under 7% anytime soon, pushing buyers toward alternative financing options to strike deals.The rate on the 30-year fixed mortgage increased to 7.22% from 7.17% the week prior, according to Freddie Mac. Rates have risen more than half a percent since the first week of the year and have hovered above 7% for three straight weeks.
Tools
- Sale of your home – Calculation of Capital Gains
- Capital Gains Calculator
- Rent vs Buy Calculator
- The Value Of Your Listing Agent (PDF)
- The Sellers Checklist – Preparing to Sell (PDF)
- Home Buyers Guide – Preparing to Buy (PDF)
Market Trends & Forecasts
- April Monthly Housing Market Trends Report
- National Market Trends Flipbook
- Sonoma County Market Trends Flipbook
Market Update
Ever since the beginning of the year, and now moving into the spring selling season, striking shifts in supply and demand have occurred and continued to accelerate, resulting in a dramatic leap in the heat and competitiveness of market conditions. Based on current indicators illustrated in this report, and, more importantly, what is being experienced on the ground as new listings arrive on the market, deals are negotiated, and homes go into contract, it appears likely that significant home price increases will begin to show up in Q2 2024.
So, despite the Feds continued reluctance to bring interest rates down, we saw a nice uptick in our April statistics in Sonoma Valley. Listings popped up to 130 vs. 106 in April 2023, a 23% jump, and both the median list price and median sales price jumped by 13% ($2,050,000 vs. $1,820,000) and 11% ($1,050,000 vs. $950,000) respectively. The just-over $2M median list price surely reflects sellers’ optimism for the spring selling season. Both pending sales, up 29% (36 vs. 28) year over year, and closed sales, up a whopping 40% (35 vs. 25), may signal that buyers are tired of waiting.
Anecdotally, open houses have been more strongly attended and showings are up in all price ranges. Collectively, Sonoma and Napa Counties are up in every category we tracked. Looking ahead, the overall feeling in the market is very positive. With the sun out and the flowers blooming, we are anticipating a strong “spring” in the market.
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